Madison Realty Capital Lends $121M for Hoboken Condos

Taurasi Group landed a $121 million condominium inventory loan for a newly completed mixed-use condo development in Hoboken, N.J., Commercial Observer can first report.

Madison Realty Capital provided the loan for South End Lofts, a 110-unit condo project that opened this winter. The financing closes nearly two years after Taurasi Group secured $97 million of construction financing from Madison Realty Capital to develop the 494,000-square-foot complex at a former industrial site that once housed a factory for Davis Baking Powder and My-T-Fine Pudding. 

“South End Lofts is a clear demonstration of Madison’s approach to full life-cycle lending,” Josh Zegen, co-founder and managing principal at Madison Realty Capital, said in a statement. “Delivering the next phase of financing to a repeat borrower reinforces our conviction that our borrowers benefit from a capital partner that can stay with a project through every stage of development.”

Located at 38 Jackson Street, the former industrial loft building suffered a fire in late 2022 before Tauraisi began assembling the property into a nine-story condo building with 97,000 square feet of ground-floor retail space. The property also houses a 141,000-square-foot parking garage across the upper four levels.

The condo units are roughly 30 percent pre-sold with the retail component roughly 85 percent pre-leased, according to Madison Realty Capital. The Hoboken Public Schools is the anchor retail tenant after signing a 20-year lease for 25,550 square feet to create an early childhood education center in January, Traded reported at the time. 

Taurasi Group did not immediately return a request for comment.

Andrew Coen can be reached at acoen@commercialobserver.com.